“Although the number of villages designated as fiscally stressed is small, village officials across the state must be on alert,” DiNapoli said in a statement. “Moving forward, the drivers of fiscal stress will continue to hamper villages in many of the same ways it does our larger municipalities. I continue to emphasize to local officials that the best way their community can avoid falling into fiscal stress is through sensible budgeting and careful long-term planning.”

DiNapoli’s system takes various financial issues into account, including a village’s cash ratio, general fund balance, operating deficit and personnel costs.